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Soybeans able to finish firm Monday
Soybeans were higher on short covering and technical buying, ending the two-sided session in slightly positive territory after running into overhead resistance. The trade’s monitoring medium-term forecasts for drier weather in parts of Argentina and southern Brazil. Still, those weather outlooks could change rapidly and crops, overall, in South America remain in very good condition. The Buenos Aires Grain Exchange says nearly 85% of Argentina’s crop has been planted. Soybean meal and oil were up on short covering and technical buying. Export inspections were down on the week, up on the year, primarily to China and Egypt. India did buy 23,000 tons of 2024/25 U.S. soybean oil ahead of the open. Commodity markets will have their normal close New Year’s Eve and be closed New Year’s Day, with trade resuming Thursday morning.
Corn was modestly lower on fund and technical selling, unable to follow through on the initial gains. Corn is watching development conditions in South America ahead of a drier weather pattern in some areas. The USDA’s next round of supply, demand, and production numbers is out January 10th, while CONAB’s updated projections for Brazil are set for the 14th. The Buenos Aires Grain Exchange says 81% of Argentina’s crop is planted and about 20% is in the pollination phase. Conditions in most of Brazil are favorable and the big test for that nation’s corn production is the second crop, which is planted after soybeans are harvested. Feed, fuel, and export demand are ongoing positives. Export inspections were lower than the previous week, but higher than a year ago, mainly to Mexico and Japan.
The wheat complex was mixed, with Chicago and Kansas City up and Minneapolis mostly down. Crop conditions in Russia are declining and exports are slowing down ahead of the official cap going into effect in February. There was talk, but no confirmation, of strong demand from Egypt over the weekend. While there are at least slight chances of winterkill in parts of the U.S. Plains and Midwest, what really counts for wheat are the conditions when the crop emerges from dormancy in spring. U.S. export inspections were below the week before, but above last year, with Thailand and Mexico leading the way. The Buenos Aires Grain Exchange says 88.5% of Argentina’s wheat crop is harvested.
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